Europe, Latin American Buyers Driving Miami Residential Sales

According to the Miami Association of Realtors, buyers from Europe and Latin America are leading a surge in buying activity in the Miami area.

Pending sales for September 2010 were up 28.6 percent from September 2009, the latest MLS data shows. Pending sales of condominiums, which are particularly popular with foreign buyers, were up 40 percent from a year earlier, according to a press release.

The influence of foreign buyers is nothing new in southern Florida. By some estimates they accounted for more than 50 percent of home sales during the lean times. But the association says activity has increased in recent weeks.

“The Euro has recently re-strengthened, resulting in even greater demand from European buyers, while many Latin American buyers are looking for a safe haven to invest their money,” said Oliver Ruiz, 2010 residential president of the Miami Association of Realtors.

Pending sales are not the same as completed sales, but they do represent a leading indicator of the market. Nationally, the National Association of Realtor’s pending sales index rose 4.3 percent from July to August, but was down 20.1 percent from August 2009, according to data released this week.